Incentivizing your collectors is key towards better team management, motivation and performance increase. Daily motivation is critical, even after extensive training is offered to collections professionals. When they have it, they perform better and achieve higher collections rates. Incentive programs must be smartly designed and comprise of a mix of KPI’s in order to actually increase collections results.
This post offers tips on how collections managers can structure incentive programs so that collectors work harder and smarter to improve results.
The Importance of Incentive Schemes
Personnel costs are the greatest expense for a collections department. That’s why incentives are so important: they encourage collector improvement in areas like compliance, communication and technology usage with real-world rewards. Done right, they attract and retain top talent, which gives your department a serious competitive advantage. A department that cares for its personnel and takes the time to motivate them will be happy with results.
But, to achieve this result, you need to structure your incentive program with certain best practices in mind.